NATIONAL FERTILIZERS LIMITED PANIPAT TECHNICAL SCOPE OF WORK

NATIONAL FERTILIZERS LIMITED PANIPAT TECHNICAL SCOPE OF WORK Sub: Remnant Life Assessment (RLA) study of Three SGP Boilers#1,2&3 (Capacity- 150T/H) & One CPP Boiler (Capacity 210 T/H) as per Indian Boiler Regulation 1950 & its amendments. 1.0 BACKGROUND: National Fertilizers Limited (NFL) Panipat, a Govt. of India Undertaking owns and operating fertilizer plants at four locations Nangal (Punjab), Bhatinda (Punjab), Panipat (Haryana) & Vijaipur, (M.P.) The above plants consist of an Ammonia-Urea complex integrated with offsite facilities e.g. raw water treatment, DM water, Steam and power production facilities, Effluent treatment, cooling water system etc. Panipat unit is in continuous operation since 1977-78. This Boiler is Mitsui-Riley Rx Type having a NCR of 210 T/Hr. at working pressure of 105 kg/cm 2 with Main steam temperature of 495 O C was installed & commissioned in 1989. It is proposed to carry out Remnant Life Assessment (RLA) study as per Indian Boiler Regulation 1950 & its amendments, Regulation No. 391A of this boiler. 2.0 Qualifying Requirements for Bidders: (A) (B) Essential requirement: (i) Work Experience: The bidder must be approved by Central Boilers Board for RLA study and must be working in the field of boilers and Remnant life and extension thereof. The bidder shall furnish the documentary evidence in this regard & its validity. The bidder should have got at least one boiler certified from respective Directorate of Boilers in the last three years of capacity equal to or higher than our boilers. ii) Technical Capabilities The bidder shall furnish the following details a) Non- Destructive Testing Equipment available for carrying out RLA b) Software package for evaluation of the RLA of equipment. Desired Information: The Bidder shall furnish the following information in his Bid: i) Details of Previous Jobs: The bidder shall furnish details of relevant works executed of similar Boilers as 1.0 above in the last three years. Copies of Work orders/contracts/along with completion certificates may be submitted. ii) Current commitments and availability of manpower: The Bidder shall furnish information on their current commitments on all the contracts that have been awarded or for which Letter of Intent or Acceptance has been received or for contracts approaching completion but for which an un-qualified full Completion Certificate is yet to be issued. 1

The Bidder shall furnish information on the Management Structure of the Company and shall supply information/bio data of the team proposed to be employed for the said job. The personnel should be qualified and their credentials shall be enclosed. The bidder shall also demonstrate to the satisfaction of NFL that he has adequate manpower resources to meet the requirements on the works currently in progress and for further contract commitments. iii) Concept Plan The Bidder shall submit the Concept Plan including tests to be conducted and the methodology for execution of the job. 3.0 Objective: The overall objective is assessment of the Remnant life of parts of a boilers and acceptance of the results as per the standards laid down by Central Boilers Board. It shall be the responsibility of consultant to arrange a certificate from Chief Inspector of Boilers for extending the life of the boilers for a further period of 10 years or such period as recommended by Remnant Life Assessment Organization. 4.0 Scope Of Work One No. Boiler Mitsui-Riley Rx Type Coal-based having a NCR of 210 T/Hr. Heating Surface 6110 M 2 at working pressure of 105 kg/cm 2 with Main steam temperature of 495 O C was installed & commissioned in 1989 & is inoperation since then. Three No. Boiler BHEL VU-40 Coal-based having a NCR of 150 T/Hr. Heating Surface 4006 M 2 at working pressure of 105 kg/cm 2 with Main steam temperature of 495 O C was installed & commissioned in 1978 & is in operation since then. The Consultant would carry out Remnant Life Assessment (RLA) of the boiler parts of the boilers as per Indian Boiler Regulation-1950 & its amendments for Aging of Boiler- Regulation 391A. The list of the parts of each boiler is only indicative and shall not be limited to the following: 1. All relevant Inspection of steam drum 2. All relevant Inspection of mud drum 3. All relevant Inspection of water walls. 4. All relevant Inspection of bank tubes including sidewall tubes. 5. All relevant Inspection of water wall headers. 6. All relevant Inspection of economizer coils. 7. All relevant Inspection of economizer headers. 8. All relevant Inspection of platen super heater & final super heater coils 9. All relevant Inspection of platen super heater & final super heater header. 10. All relevant Inspection of de-superheater. 11. All relevant Inspection of other equipment, headers etc. in Boiler for meeting the objective as defined at para 4.0 12. Inside oxide scale thickness measurement of critical locations and analysis of the same for RLA. 13. The Consultant shall take permission/approval from the office of Chief Inspector of Boilers, Haryana as per the plant location for the above-mentioned RLA study and for cutting of the above pressure parts/zone before starting the job. 2

14. IBR welder & consumables shall be provided by NFL free of cost during RLA study for cutting and welding of pressure part/zone. If required, endorsement in the IBR certificate of welder by Chief Inspector of Boiler will be in party's scope. Supervision for cutting & welding job for execution of work will be in Consultant's scope. 15. To arrange a certificate from Chief Inspector of Boilers for extending the life of the boilers for a further period of 10 years or such period as recommended by Remnant Life Assessment Study. 16. All statutory formalities shall be in Consultant's scope. 17. These boilers shall be handed over to Consultant for inspection in one by one or once in major shut down of plant. 5.0 Methodology: RLA Study shall be conducted by a team of experienced Technical Experts having in depth experience in similar jobs. NFL shall nominate Engineer-in-Incharge for coordination with the Consultant. The Consultant shall interact at site with the NFL s coordinator regarding all matters pertaining to the subject Study. The Consultant shall furnish the details regarding assistance required from NFL during execution of job. The boilers shall be handed over to Consultant for inspection in a phased manner one by one during major shut down of boilers. 6.0 Time schedule for execution of the assignment: Contract period will be valid for one year. The complete inspection work of boiler would be completed by the Consultant within 10 days time during major shut down of boiler. NFL would give an advance notice of 15 days for execution. Preliminary Report for boiler would be submitted to NFL within 15 days after completion of inspection work as per the scope of work mentioned under Clause 4.0 above. If required, review meeting will be held with Consultant at site. Subsequently, draft report will be submitted to NFL within 1 month from the date of completion of inspection work. Within a fortnight of submission of the draft report, the Consultant shall attend a review meeting with the plant team at site. The meeting shall look into the fulfillment of the scope of work as per the work order. All clarifications, changes mutually agreed in this meeting shall be incorporated by the Consultant in the final report. The Consultant shall submit the Final Report within a fortnight of receipt of comments from the Owner. After acceptance of report by NFL, the Consultant would submit the report to Central Boiler Board for arranging the certificate as described in the scope of work under clause 4.0. NFL would provide the necessary assistance for the same. 7.0 Lump sum Fee for carrying out subject assignment: The bidder shall furnish in duplicate his lump sum Fee for each boiler for carrying out Remnant Life Assessment (RLA) of boilers as per scope of work mentioned under clause 4.0 in the bid. These charges shall remain firm and fixed till execution and completion of the assignment. 3

The bidder shall indicate the rate and total amount inclusive of all taxes and duties but excluding service tax separately in his lump sum bid. Any variation in the rates of taxes, duties etc. shall be to the Owner s account during contractual completion period only. All expenses towards transport of their personnel to site, boarding and lodging of the bidder s engineers/workmen at site etc. shall be borne by the successful bidder (CONSULTANT). No other charges shall be admissible/reimbursable. During visit for conducting RLA, if available, guesthouse accommodation will be provided on chargeable basis. The rates would be as applicable to Outsiders. 8.0 Terms of payment for the CONSULTANT (after acceptance of letter of intent by the successful bidder): The Owner offers the following terms of payment to Consultant and no deviation is expected: a) 20% of Agreed lump sum fee on submission of Preliminary report in four copies along with soft copy and receipt & acceptance of PBG as per clause No. 12. b) 25% of Agreed lump sum fee on submission of draft report in four copies along with soft copy. c) 30% of Agreed lump sum fee on submission and acceptance of final report by the Owner in six (6) copies along with soft copy after incorporating changes mutually agreed during the meeting with the Owner on the Draft Report submitted by them. d) Balance 25% of Agreed lump sum fee on submission of certificate from Chief Inspector of Boilers for extending the life of the boilers for a further period of 10 years or such period as recommended by Remnant Life Assessment Study. This payment would be subject to deduction of all sums due from the consultant including adjustment of Mutually Agreed Damages for delay, if any as per clause 9.0. e) Security deposit as per clause 1.28.0 of GTC will be deducted & will be released after completion of defect liability period of 12 months. All payments shall be made on receipt of invoices in triplicate by the Owner. If applicable, income tax shall be deducted at source as per Income Tax rules. 9.0 Delay In Completion And Mutually Agreed Damages The time period for completion of the work as specified and stipulated in the NIT/Contract shall be essence of the Contract/Work Order. In the event of delay by the Consultant in the submission of the Final Report beyond time schedule of completion, as per award of contract or within such extended time as may be permitted in accordance with Clause 1.23.0 of General Terms & Conditions, Penalty @ 1.0% of the lump sum Agreed Fee per day or part thereof of delay attributable to the Consultant will be levied on the Consultant subject to a maximum of 10% (Ten percent) of the Agreed Fee/charges and the Owner will deduct said penalty from the Agreed Fee payable to the Consultant and/or any other money due to the Consultant under these presents or may recover it otherwise. Penalty shall be evaluated separately for each boiler. 4

10. Deviation to NIT: No deviation to scope of work, general terms & conditions & other requirements of NIT shall be acceptable. Bidder shall confirm to acceptance of all terms & conditions of the NIT to facilitate opening of price bid immediately to avoid loss of time. 11. Owner s decision final: OWNER reserves the right to split the work of Panipat, Bathinda & Nangal and to reject or accept the bid without assigning any reason whatsoever. 12. BANK GUARANTEE: The successful Bidder shall furnish Performance Bank Guarantee (PBG) on enclosed prescribed proforma within 15 days after issue of work order. PBG shall be issued by the nationalized Bank in India in favor of NFL and of an amount equivalent to 10(ten)% of the Agreed Fee and shall be kept valid initially for the 12 months with a claim period of 3 months, which shall be extended further as may be required & asked for by the OWNER from time to time. The PBG shall be refunded after successful completion of warrantee period of 12 months. 13. CLARIFICATIONS The OWNER shall furnish clarifications to the Bidder as and when required and requested by the Bidder to the best of OWNER s knowledge and information and to the extent it is available with the OWNER. All requests for interpretation or clarification shall be submitted to the address given in clause 17.0. Any further data required by the Bidder shall be obtained by them (the Bidder) and the source of such data shall be indicated by the Bidder. However, a failure to receive any such addendum or interpretation or clarifications shall not relieve a bidder of any of the obligations under the bid as submitted. 14. WORK TO BE OPEN TO INSPECTION All work under or in course of execution or executed in pursuance of the Contract shall at all times be open to the inspection and supervision of the Engineer-in-charge/officer-in-charge and his authorized subordinates, and the Consultant shall at all times during the usual working hours and at all other times at which reasonable notice of the intention of the Officer-in-charge or his subordinate to visit the works shall have been given to the Consultant, either himself be present to receive order and instructions, or have a responsible agent duly accredited in writing, present for that purpose. Order given to the Consultant s agent shall be considered to have the same force as if they had been given to the Consultant himself. 15. MEASUREMENT SYSTEM Metric system will be adopted for the collection/reporting of data and in the preparation of the reports. 5

PROFORMA FOR PERFORMANCE GUARANTEE BY CONSULTANT (To be executed on non-judicial stamp paper of appropriate value) Whereas National Fertilizers Limited (hereinafter referred to as the OWNER which expression shall unless repugnant to the context or meaning thereof include their legal representatives, successors and permitted assigns of the one part) having their Registered. Office at Core III, SCOPE Complex, Lodhi Road, New Delhi, have appointed vide LOI/Work order/ entered into a CONTRACT dated with M/S (hereinafter referred to as CONSULTANT which expression shall unless repugnant to the context or meaning thereof include their legal representative, successors and permitted assigns of the other part) having their Registered. Office at for carrying out Energy Audit of NFL... AND whereas one of the conditions of the said LOI/CONTRACT is that the CONSULTANT shall furnish to the OWNER a Bank Guarantee from a Nationalized Bank for 10% (ten percent) of the agreed fee as specified in Clause of the said agreement against due and faithful performance by the CONSULTANT of his obligations for services to be rendered under the said LOI/CONTRACT. AND whereas the CONSULTANT has approached (name of the Bank with complete address), and at the request of the CONSULTANT and in consideration of the premises, we (name of the Bank) do hereby agree to give such guarantee as hereunder and undertake to pay to the OWNER an amount not exceeding rupees against any loss or damage caused to or suffered or would be caused to or suffered by the OWNER by reason of any breach by the said CONSULTANT of any of the terms and conditions and the specific guarantees contained in the said LOI/Work order/contract. 2. We (name of the Bank) hereby guarantee to the OWNER due observance and fulfillment by the CONSULTANT of the terms and conditions of the said LOI/Work order/contract and of the performance and other guarantees which are a part of the said CONTRACT and agree and undertake that if the CONTRACT fails to observe and fulfil the terms of the said CONTRACT, then the Bank shall immediately pay to the OWNER on demand such sum or sums of money to the extent of Rs. (Rupees only) being 10% of the agreed lumpsum fee payable to the CONSULTANT on account of losses and damages as may be claimed by the OWNER by reason of such non observance and non fulfillment by the CONSULTANT as aforesaid and shall also indemnify the OWNER against all losses and damages which may be suffered by the OWNER as aforesaid and against all costs, charges, expenses which may be incurred by the OWNER in connection herewith not exceeding Rs. (Rupees only). 3. We (name of the Bank with complete address) do hereby undertake to pay the amounts due and payable under this guarantee without any demur, merely on a demand from the OWNER stating that the amount claimed is due by way of loss or damage caused or would to be caused to or suffered by the OWNER by reason of breach by the said CONTRACT of any of the terms or conditions and the specific conditions/guarantees contained in the said CONTRACT or by reason of the CONSULTANT s failure to perform the said CONTRACT. Any such demand made on the Bank shall be conclusive as regards the amount due and payable by the Bank under this guarantee. However, our liability under this guarantee shall be restricted to an amount not exceeding Rs.. 4. We (name of the Bank ) undertake to pay to the OWNER money so demanded notwithstanding any dispute or disputes raised by the said CONTRACT in any suit or proceeding pending before any court or Tribunal relating thereto our liability under this 6

present being absolute and unequivocal. The payment so made by us under this bond shall be a valid discharge of our liability for payment there under and the CONTRACT shall have no claim against us for making such payment. 5. This guarantee shall be in addition to and not in substitution of any other guarantee or security to be furnished to the OWNER by the CONSULTANT in respect of the said CONTRACT. 6. We (name of the Bank) further agree that the guarantee herein contained shall remain in full force and effect during the period that would be taken for the performance of the said CONTRACT and that it shall continue to be enforceable till all the dues of the OWNER under or by virtue of the said CONTRACT have been fully paid and its claims satisfied or discharged or till Chairman & Managing Director, of the OWNER certifies that the terms and conditions and the specific guarantees of the said CONSULTANT have been fully and properly carried out by the said CONSULTANT and accordingly discharges this guarantee. Unless a demand or claim under this guarantee is made on us in writing on or before the (six months from the date of this guarantee), we shall be discharged from all liability under this guarantee thereafter. 7, We, (name of the Bank) further agree with the OWNER that the OWNER shall have the fullest liberty without our consent and without affecting in any manner our obligations hereunder to vary any of the terms and conditions of the said CONTRACT or to extend time of performance by the said CONSULTANT from time to time or to postpone for any time or from time to time any of the powers exercisable by the OWNER against the said CONSULTANT and to forbear or enforce any of the terms and conditions relating to the said CONTRACT and we shall not be relieved from our liability by reason of any such variation or extension being granted to the said CONSULTANT or for any forbearance, act or omission on the part of the OWNER or any indulgence by the OWNER to the said CONSULTANT or by any such matter or thing whatsoever which under the law relating to sureties would, but for this provision have effect of so relieving us. 8. This guarantee will not be discharged due to the change in the constitution of the Bank or the OWNER or the said CONSULTANT. 9. We (name of the Bank) lastly undertake not to revoke this guarantee during its currency except with the previous consent of the OWNER in writing. 10. The Bank hereby declares that it has the power to issue this guarantee and the undersigned have full power to do so. Notwithstanding anything stated above, our liability under this guarantee is restricted to Rs. (Rupees only) and this guarantee shall expire on. Unless a written demand or claim under this guarantee is filed against us within six months from the date of expiry of this guarantee, all rights of the OWNER under this guarantee shall be forfeited and we shall be relieved and discharged from all liabilities hereunder. Dated the day of 7 (Signature of a person duly authorised to sign on behalf of the Bank}

PROFORMA FOR BANK GUARANTEE FOR ADVANCE PAYMENT TO CONSULTANT (To be executed on non judicial stamp paper of appropriate value) Whereas National Fertilizers Limited (hereinafter referred to as the OWNER which expression shall unless repugnant to the context or meaning thereof include their legal representatives, successors and permitted assigns of the one part) having their Regd. Office at Core III, SCOPE Complex, Lodhi Road, New Delhi, have issued Letter of Intent/Work order/ entered into a CONTRACT dated with M/S (hereinafter referred to as CONSULTANT which expression shall unless repugnant to the context or meaning thereof include their legal representative, successors and permitted assigns of the other part) having their Regd. Office at for carrying out Energy Audit of NFL. AND whereas one of the conditions of the said agreement is that the OWNER should make an advance payment of Rs. (Rupees only) being 10% (ten percent) of the agreed lumpsum fee payable to the CONSULTANT under clause of the said LOI/WO/CONTRACT against a Bank Guarantee of an equivalent amount to be furnish by the CONSULTANT to the OWNER from a Natioinalised Bank in a form acceptable to the OWNER AND whereas the CONSULTANT has approached (name of the Bank with complete address), and at the request of the CONSULTANT and in consideration of the premises, we (name of the Bank) do hereby agree to give such guarantee as hereunder and undertake to pay to the OWNER an amount not exceeding rupees against any loss or damage caused to or suffered or would be caused to or suffered by the OWNER by reason of any breach by the said CONSULTANT of any of the terms and conditions contained in the said CONTRACT. 2. We (name of the Bank with complete address) do hereby undertake to pay the amounts due and payable under this guarantee without any demur, merely on a demand from the OWNER stating that the amount claimed is due by way of loss or damage caused or would to be caused to or suffered by the OWNER by reason of breach by the said CONSULTANT of any of the terms or conditions contained in the said CONTRACT or by reason of the CONSULTANT s failure to perform the said CONTRACT. Any such demand made on the Bank shall be conclusive as regards the amount due and payable by the Bank under this guarantee. However, our liability under this guarantee shall be restricted to an amount not exceeding Rs.. 3. We (name of the Bank ) undertake to pay to the OWNER money so demanded notwithstanding any dispute or disputes raised by the said CONSULTANT in any suit or proceeding pending before any court or Tribunal relating thereto our liability under this present being absolute and unequivocal. The payment so made by us under this bond shall be a valid discharge of our liability for payment there under and the CONTRACT shall have no claim against us for making such payment. 4. This guarantee shall be in addition to and not in substitution of any other guarantee or security to be furnished to the OWNER by the CONSULTANT in respect of the said agreement. 5. We (name of the Bank) further agree that the guarantee herein contained shall remain in full force and effect during the period that would be taken for the performance of the said CONTRACT and that it shall continue to be enforceable till all the dues of the OWNER under or by virtue of the said CONTRACT have been fully paid and its claims satisfied or discharged or till Chairman & Managing Director, of the OWNER certifies 8

that the terms and conditions of the said Agreement have been fully and properly carried out by the said company and accordingly discharges this guarantee. Unless a demand or claim under this guarantee is made on us in writing on or before (six months from the date of this guarantee) we shall be discharged from all liability under this guarantee thereafter. 6, We, (name of the Bank) further agree with the OWNER that the OWNER shall have the fullest liberty without our consent and without affecting in any manner our obligations hereunder to vary any of the terms and conditions of the said LOI/WO/CONTRACT or to extend time of performance by the said CONSULTANT from time to time or to postpone for any time or from time to time any of the powers exercisable by the OWNER against the said CONSULTANT and to forbear or enforce any of the terms and conditions relating to the said CONTRACT and we shall not be relieved from our liability by reason of any such variation or extension being granted to the said CONSULTANT or for any forbearance, act or omission on the part of the OWNER or any indulgence by the OWNER to the said CONSULTANT or by any such matter or thing whatsoever which under the law relating to sureties would, but for this provision have effect of so relieving us. 7. This guarantee will not be discharged due to the change in the constitution of the Bank or the OWNER or the said CONSULTANT. 8. We (name of the Bank) lastly undertake not to revoke this guarantee during its currency except with the previous consent of the OWNER in writing. 9. The Bank hereby declares that it has the power to issue this guarantee and the undersigned have full power to do so. Notwithstanding anything stated above, our liability under this guarantee is restricted to Rs. (Rupees only) and this guarantee shall expire on. Unless a written demand or claim under this guarantee is filed against us within six months from the date of expiry of this guarantee, all the rights of the OWNER under this guarantee shall be forfeited and we shall be relieved and discharged from all liabilities hereunder. Dated the day of (Signature of a person duly authorized to sign on behalf of the Bank} ( Name of Bank) 9